tion, development, and operation of the center in such manner as will create and maintain public interest in and induce adequate public attendance at the center."

The master plan of Interama provides four areas of interest-international, industrial, festival, and cultural-all creating an appeal to diverse segments of population.

Ex

Provision is being made to insure constant visitor interest by requiring continual upgrading and change of all industrial and governmental exhibits. tensive programing and special events will be staged continuously, thus drawing from different audiences. The authority's proposed annual operational budget provides $2.6 million for such special events and $2.1 million for a continuing advertising and public relations program for Interama. Ample funds have been provided to insure quality grounds maintenance and service facilities."

"(iv) Based upon the determinations made pursuant to items (i), (ii), and (iii) above, the center, if constructed, developed, and operated in accordance with the existing concept and plans or such variations therefrom as shall be approved by the Authority and described in such certificate, and from the proceeds of the bonds theretofore issued and from the proceeds of the additional bonds then to be issued, will provide revenue sufficient to meet the obligations of the authority under this indenture."

The remaining two sections of this report deal with this point in detail. "(v) The items of the cost of the center as set forth in said certificate, for which such additional bonds are to be issued are proper and necessary for the construction, development, promotion, and operation of the center, and that the plans for such promotion and any improvements, buildings or facilities to be financed with the proceeds of such additional bonds are satisfactory to it."

Following is a general estimated projection supplied by the Authority for the use of funds from the additional $13 million bonds to be issued under the trust indenture for construction, development, administration, and operations of Interama:

Prepaid interest (4 semiannual interest payments at 5 percent)
Administration and promotional expense_

Administration and service buildings-

Equipment----

Utilities (gas only, subject to reimbursement on connection by participants).

Site preparation, parking areas, walks, plazas, bridges, landscaping. and irrigation, etc.).

$1,300,000

1,250,000

1,250,000

350,000

300,000

4, 000, 000

3,250,000 1,300,000

13, 000, 000

"(iv) The proceeds to be derived from the sale of such additional bonds are necessary and required for and will be in sufficient amount to provide the financing of the items of cost of the center for which issued, which shall include an amount equal to the interest accruing on such additional bonds from the date of delivery thereof to the date 54 months following the date on which the initial bonds are delivered pursuant to section 308 thereof."

As referred to in the breakdown of costs for Interama's facilities in response to question (v) above, and as concluded in section I of this report, the proceeds of the $13 million in additional bonds are necessary and required and will provide sufficient funds to finance the cost of the center including an amount to pay the interest accruing on the additional bonds to and including December 1, 1967, the scheduled opening date, a date actually 66 months following delivery of the initial bonds. A statement with respect to the estimated application of trust indenture bond proceeds for the period June 1, 1965, to December 1, 1967, follows: "(vii) No conditions exist or are prudently foreseeable, other than conditions which can be sufficiently modified or eliminated at the proper time, which would materially impede or bar the establishment, construction, maintenance, repair, promotion, or operation of the center."

The basic conclusion of section I of this report is that Interama is proceeding in line with standard practices for development of a major exposition, and that it is realistic to expect implementation of the project under its present program. It can therefore be concluded that no conditions exist to materially bar progress to implementation.

See appendix B. pp. 97-98.

INTER-AMERICAN CENTER AUTHORITY